What is Webhook?
A webhook is an automated HTTP callback that a system sends to a URL when a specific event occurs, pushing data to another system in near real time.
Definition
A webhook is a mechanism by which one application automatically notifies another when a particular event happens, by sending an HTTP request to a pre-configured URL with details of the event. Unlike traditional API polling, where one system repeatedly asks another whether anything has changed, webhooks push information the moment an event occurs. This makes integrations more efficient and timely, since the receiving system reacts only when there is something new. Webhooks are widely used for event-driven integration between cloud applications.
How Webhook Works in ERP
An ERP or connected system can fire a webhook when an event such as a new order, a shipment, or a payment occurs, immediately notifying another system to act. For example, a webhook from a payment provider might tell the ERP to mark an invoice as paid, or an ERP event might trigger a notification in a messaging tool. This event-driven pattern avoids constant polling and keeps connected systems closely synchronised. Webhooks are often combined with REST APIs, where the webhook signals a change and the receiver calls back for full details.
ERP Vendors with Strong Webhook
Frequently Asked Questions
What is the difference between a webhook and an API?
An API is requested by a client when it wants data, while a webhook is pushed by the source system automatically when an event occurs; webhooks are sometimes called reverse APIs because the data flows without being polled for.
Are webhooks reliable for critical ERP integrations?
They are efficient but require careful handling of retries, ordering, and security, since a missed or duplicated webhook can cause data gaps; robust integrations add verification, acknowledgement, and reconciliation to ensure no events are lost.